As project managers, we know what project closure or closeout is. What we don’t always know or do is that project closure starts at the beginning of the project. A version of Steven Covey’s “start with the End in mind”. This is part of project planning. Plan for files, manuals, and notebooks to be turned over to the client, be it an internal department or external client. Project Closure process should be used for gate, phase, or early closure of projects. Early closure may be for aborted or canceled projects.
Project closure is a critical phase in the project management lifecycle that ensures a project is completed efficiently and effectively. This phase involves finalizing all project activities, delivering the finished product to the client, and obtaining formal acceptance. Verifying that all project objectives have been met and any issues or discrepancies have been addressed is essential. This phase helps to ensure that all contractual obligations are fulfilled, documentation is completed, and lessons learned are captured. Proper project closure provides a formal end to the project, allowing the team to transition smoothly and ensuring that resources are released and reallocated appropriately.
There is a close connection, or there should be, to the start of a project and its closure. The start articulates the scope, and closure is where we confirm or refute that the scope has been achieved.
Key Steps in Project Closure
The first step for project closure is to create a Project Closure Checklist. We generally start building a checklist when execution starts. Particularly with construction projects. With manuals and submissions that will be collected during execution and the need to hand over these documents as a part of project closure and hand-off. This checklist should have metrics defining what constitutes acceptance for that checklist attribute. For example, a requirement that the production output first pass yield (working parts, not reworked) must be 95%. Demonstration for this could be mathematical or test and verification activities or both.
Finalizing All Project Deliverables
Ensuring all deliverables meet the project’s acceptance criteria is a crucial step in the project management process. Conduct a thorough review and assessment of each deliverable to confirm that it adheres to the specified requirements and standards outlined in the project plan. (This is something that should be checked during execution.) Project managers and team members must meticulously check that each component meets the quality benchmarks, functional specifications, and any other predefined conditions. This process often includes detailed testing, validation, and verification procedures to ensure that the deliverables are both complete and satisfactory. By rigorously adhering to these criteria, teams can avoid costly revisions and ensure that the final output aligns with the project's goals and expectations.
Obtaining formal client or stakeholder acceptance is the next vital phase following the fulfillment of the acceptance criteria. This step requires presenting the completed deliverables to clients or stakeholders for their official review and approval. It is essential to engage in clear and open communication during this phase to address any concerns or feedback that may arise. Formal acceptance often involves obtaining signed documentation or approval statements that signify the stakeholders’ agreement that the deliverables meet their needs and expectations. This formal sign-off not only validates the work completed but also marks a key milestone in the project’s lifecycle, paving the way for final project closure and any subsequent phases.
All of this can be compiled during project execution. Our experience is that if formal acceptance of deliverables is reviewed during the project, it allows for adjustments and makes format closure easier. Any adjustments or updates to documents should be included as well.
Preparing for the Client Final Review Meeting
By the time of closure, we should understand the contents of the review and the parameters expected to be presented. Schedule the meeting and make sure notifications are sent out. All stakeholders should be notified, although most will not attend. It is important to track who shows up for the review and note those that do not attend. This may be necessary months after project closure when non-attendees will note things that should have been noted during the review. In addition, ask stakeholders if anyone was missing from the list, or if the client has anyone they would like to bring to the meeting. Executives of a client company were invited by the Project Single Contact person as these executives approved the business case and funds.
Financial Closure
Closing out all financial accounts, reconciling project budgets, and reconciling project budgets. The work here should just be verifying the final numbers as budgets should have been reviewed on a regular schedule by the project manager with the accounting department. In addition, all purchase orders should be finalized with vendors and suppliers. Ensure that all payments are made before the Final Project Review Meeting. This should be followed by making sure that all contracts are closed. The final payment from the client should be noted in the Project Closure Report as it will probably occur at or after the final review meeting.
Resource Release
Formally releasing project team members to their next assignments. Sometimes this is as simple as a phone call or email to team member’s managers.
Returning or reallocating physical resources (equipment, tools, etc.) will follow hard upon talent release.
Final Project Report
The Final Project Report should be a summary of the project’s achievements and lessons learned. Include the verification that all closure activities are complete.
Provide information about how the project documents will be archived or how the final project documents are to be transferred to the client. The transfer usually takes place during the Final Review Meeting. It is our experience that a record set of project documents is project management office for historical data.
Conduct the Final Project Closure Meeting
Be prepared with all the necessary documents, and storage devices to transfer the project to the client/owner.
Conducting a Post-Project Evaluation
Typically, the post-project evaluation is a questionnaire or survey sent to the stakeholders via email the day of the Final Review meeting. The email should request to reply within 24-48 hours (while the memories are fresh).
First, we believe that these project review events, especially the internal ones, should have a recurring cadence. After action reports are colored by time, meaning it is tough to recall precisely, accurately. Ideally, we should do this all along execution. However, there should be one of these critiques and review of the effort at the end of the project to capture team learning and thoughts.
Perhaps the company has survey templates that are routinely presented to the client, the project manager should make use of these resources. However, generic templates are limited in specific value, so adapt accordingly.
The project will have generated and monitored metrics throughout its life. A review of this data and the project's results can help ensure that the learning is used for the next projects.
Celebrating Success and Recognizing Contributions
The key here is Acknowledging Team Efforts, recognizing individual and team contributions, and highlighting the value delivered by the project. This can be done as part of the Final Review meeting or as a separate event with just the project team.
Handling Outstanding Issues
Be sure to address any open risks or issues that emerged during the project and may be incomplete due to circumstances outside of the project.
There should be a plan/next steps to transition the completed project to Operations or Maintenance. Include all project documents, and any supplier manuals provided during execution.
One item that occasionally gets overlooked is providing any necessary training or support for the transition. Assume that training is not included, even a successful closed project will be viewed negatively. Again, think and plan for training from the beginning of execution. It may be assumed BUT get it written into the plan and funded.
Conclusion
The closure of the project begins at the start. A complete project closure and clean handoff is part of the project management process.
Reviewing the Project Management Book of Knowledge, 6th Edition, the Closing Process Group is three pages long. The project documents are the inputs to the process group, and the final product, service or result transition, and final report are the outputs.
Conducting the first few project closures probably won’t be perfect. And that is okay if we learn from them. The idea to set here is continuous improvement.
Again, Begin with the End in Mind. And we will add one more, as the project manager think about how you would like to receive a completed project. Having been on both sides of the final project turnover, we have learned some things that improved closure and execution.